a) The reason for the suspension of the Legal Panel is based on the following Auditor General’s 2016/2017 FY Finding No 6 of the draft Management Letter, which reads:
(b) This panel had been in existence since 2005 and should have been re-advertised.
(c) PRASA Board of Control took a resolution on the 1st of December 2017 to suspend the use of this panel which had been cited on numerous audit reports over the years for its illegality and irregularity. This decision was also informed by the 2016/17 Annual Audit cited the audit finding number 6 on the legal panel matter. The decision to suspend the legal panel was effective only on the new matters and has no bearing on matters already in brief through the different lawyers.
(d) As an interim measure, SCM obtained permission for the use of the South African Civil Aviation Authority, (SACAA) Legal Panel whilst PRASA embarks on the process to procure its own legal panel.
(e) There are no costs associated with the interim arrangement.